Pinnacle West Capital Corporation (PNW) Earnings Call Transcripts

Pinnacle West Capital Corporation's Latest Earnings Call - Q1 FY2026

In the first quarter of 2026, Pinnacle West Capital Corporation reported earnings of $0.27 per share, a significant improvement from a loss of $0.04 per share in the same quarter last year. The company achieved higher transmission revenue and benefited from favorable weather conditions, leading to a revenue increase. Management maintained its annual sales growth guidance of 4% to 6%, signaling confidence in continued customer growth and operational performance amidst Arizona's expanding economy.

Reported metrics

Guidance from management

Management reaffirmed its annual sales growth guidance of 4% to 6% and indicated strong expectations for transmission revenue benefits throughout the year, maintaining a positive outlook for operational performance.

What management said

Yes. We still believe that our rebuttal position and where we believe our ability to continue to manage regulatory lag going forward is consistent with our position at this point. Management's goal is to be able to consistently earn within that 50 bps given there's some element of structural lag that will continue to exist. And I think the latest thinking on design elements for formula rate as well as assuming a cons...

I'd say probably the best opportunity to continue to look at that as we conclude our analysis leading up to this IRP filing, that will include a wholesale look at our generation mix as it relates to serving growth. And as a part of that is continued renewed analysis on any potential for gas conversion or new gas generation at the Cholla side.

What analysts pressed on

Analysts expressed concerns regarding the potential impact of rising interest expenses on profitability and the complexity of negotiations surrounding the subscription model, seeking clarity on how these factors might affect future earnings.

Main topics on the call

• Strong Earnings Recovery — Pinnacle West reported earnings of $0.27 per share, a notable recovery from a loss of $0.04 per share in Q1 2025, driven by 'higher transmission revenue, favorable weather, higher sales and usage, and lower O&M'.
• Transmission Revenue Growth — Transmission revenues contributed significantly, adding $0.16 to earnings this quarter. Management indicated that 'we expect a strong benefit in this area throughout the year in line with our annual guidance'.
• Customer Growth and Sales Performance — Customer growth was strong at 2.2%, near the high end of guidance, with weather-normalized sales growth at 9.4%. Management noted, 'this trend of customer and sales growth reinforces our need for investments in our syste...
• Operational Investments — Pinnacle West is advancing its generation and transmission projects, including the Red Hawk expansion and Desert Sun project. Management stated, 'we're using automation and advanced analytics to improve decision-making a...

Read the full Pinnacle West Capital Corporation transcript (Q1 FY2026) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 26 Pinnacle West Capital Corporation earnings call transcripts on record, spanning February 21, 2020 to May 4, 2026. Based on this history, Pinnacle West Capital Corporation reports quarterly. The most recent call on file is dated May 4, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

PNW

Exchange

NYSE

Country

US

Sector

Utilities

Industry

Electric Utilities

Calls on record

26

First call

February 21, 2020

Most recent

May 4, 2026

Reporting cadence

quarterly